Momentus Announces $4M Offering with Institutional Investor

Momentus Inc. (MNTS) has announced a $4 million offering with 2.84 million shares and warrants priced at $1.41 each, backed by a single institutional investor to address corporate and capital requirements. MNTS shares surged over 9% following the announcement. Analyst projections forecast an average price target of $4.10, implying a 164.33% upside from the current stock price. The consensus recommendation assigns MNTS an "Outperform" rating.

SAN JOSE, Calif. — Momentus Inc. (NASDAQ: MNTS), a leading U.S. commercial space firm specializing in satellite solutions, in-space transportation, and orbital infrastructure, has announced a $4 million offering with 2,836,880 shares and warrants priced at $1.41 each. The offering is backed by a single institutional investor and is expected to close around July 1, 2025, subject to customary closing conditions [1].

The gross proceeds from the offering are expected to be approximately $4 million, before deducting placement agent fees and other estimated offering expenses. The net proceeds will be used for general corporate purposes, working capital, capital expenditures, and debt repayment and refinancing [1]. A.G.P./Alliance Global Partners is acting as the sole placement agent for the offering [1].

Momentus has also agreed to amend certain existing warrants to purchase up to 1,157,143 shares of common stock, reducing their exercise price from $3.80 to $1.41 per share. This amendment is subject to stockholder approval [1].

Following the announcement, Momentus shares surged over 9% as investors reacted positively to the news. Analyst projections forecast an average price target of $4.10, implying a 164.33% upside from the current stock price. The consensus recommendation assigns MNTS an "Outperform" rating [2].

The company's financial health remains a concern, with a current ratio of 0.4 indicating significant liquidity challenges. However, analysts project revenue growth of 30% for fiscal year 2025 [2].

Momentus has been active in securing contracts and partnerships to advance its space technology. Recently, the company has been awarded a contract by NASA to test an in-orbit power system and has partnered with Portal Space Systems to demonstrate advanced flight computer technology [2].

References:
[1] https://www.stocktitan.net/news/MNTS/momentus-announces-4-million-offering-priced-at-the-market-under-0cjrhdabhmli.html
[2] https://in.investing.com/news/company-news/momentus-prices-4-million-offering-of-common-stock-and-warrants-93CH-4895222